Save Article

How GM Might Fix Financial Rattles

Car Maker's Best Options
Could Include a New Boss
And a Bankruptcy Filing

Updated Nov. 12, 2005 12:01 a.m. ET

General Motors is suffering death by a thousand cuts under Rick Wagoner's so-called recovery program. It would be far better if GM bit the bullet, filed for protection under federal bankruptcy law and got a new boss. That would give the world's largest car maker its best chance for the future.

This might seem an extreme solution. After all, GM says its book value was $22 billion at the end September. But that is based on optimistic...